Welsh Government acquires Valleys industrial unit in a £3.15m deal

It will now invest more than £6m in the building Hirwaun Industrial Estate to attract new tenants

The Welsh Government has acquired a surplus to require distribution unit from Christmas cracker to stationery venture IG Design Group in Hirwaun for £3.15m.

The Cardiff Bay administration will now spend a further just over £6m upgrading the unit one building at the Hirwaun Industrial Estate, which extends to 97,300 sq ft and comes with six acres of development land.

It will provide new modern space industrial that we be marketed to attract inward investment as well as supporting indigenous firms to expand. It builds on recent developments by the Welsh Government in the South Wales Valleys through its Tech Valleys programme, which aims to deliver high-tech jobs and investment to the region.

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These include the construction of RYB1 at Rhyd y Blew – a 52,000 sq. ft building let to Halton Wales in December 2024 – and the refurbishment of Tech Valleys House – a 175,000 sq. ft facility currently under offer in Ebbw Vale. The building had been intended to serve as a new manufacturer base for luxury car manufacturer TVR.

Cabinet Secretary for Economy, Energy and Planning, Rebecca Evans, said:“Growing the economy is a priority for this Welsh Government. Well-connected, high-quality business spaces are crucial for expansion and job creation, and this investment will help ensure the Heads of the Valleys has the modern premises needed to attract skilled manufacturing businesses and deliver good jobs for local people.”

The sale, via IG Design Group subsidiary IG Design Group UK, forms group of efforts to strengthen its balance sheet. Following selling cost and taxes the property disposal realised a profit of £2.9m.

Cardiff property advisory firm Cooke & Arkwright acted for IG Design Group UK on the property deal with JLL advising the Welsh Government.